India's Green Hydrogen Revolution: Progress, Potential, and Investments
Key Ideas
  • India aims to establish a massive 15,000 MW electrolyser manufacturing capacity for Green Hydrogen with an estimated investment of ₹30,000-45,000 crore, supported by a ₹12,500 crore government incentive.
  • 15 companies have been selected through a transparent tendering process to develop this capacity, with production expected to start as early as mid-2025 and a deadline set for mid-2026.
  • India's dual approach involves producing Green Hydrogen for domestic consumption and exports, addressing cost disparities through a strong renewable energy market, and launching significant tenders for Green Ammonia.
  • Efforts are underway to promote the use of Green Hydrogen in mobility through pilot projects, positioning India as a global leader in the Green Hydrogen revolution with the potential for significant emissions reduction.
India is making significant progress in its Green Hydrogen efforts through the SIGHT programme, aiming to establish a massive 15,000 MW electrolyser manufacturing capacity requiring substantial investments. The government has allocated ₹12,500 crore in incentives to support this initiative over the next five years. 15 companies have been selected through a fair tendering process and are currently in the process of setting up infrastructure to meet the production deadline set for mid-2026, with some plants expected to be operational by mid-2025. India's Green Hydrogen production strategy includes catering to both domestic consumption and exports, with contracts already awarded and tenders in progress. The country's renewable energy market and integrated power grid position it favorably to become one of the world's cheapest Green Hydrogen producers. State incentives and a carbon market are expected to further drive down costs and emissions. While the mobility sector currently sees smaller usage of Green Hydrogen, pilot projects are underway to promote its adoption. India's proactive stance in the Green Hydrogen sector underscores its potential leadership in the global transition to sustainable energy.
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